Rs 15.62 arba worth of issues entering the market, of which Rs 14.3 arba coming from primary market; huge funds to be mopped up from investors in near future
Sun, Jul 14, 2019 6:00 AM on Exclusive, Stock Market, IPO/FPO News, Latest,
The approved list of issues flooding the primary market of Nepal is getting longer. Currently, there are one IPO issue, three mutual fund issues and three debenture issues in line that have been already approved by Securities Board of Nepal (SEBON).
Likewise, in secondary market two companies' right issue is ongoing and three more are in the approved list.
|
S.N. |
Company Name |
Type of Issue |
Units |
Amount (Rs.) |
Issue date |
|---|---|---|---|---|---|
|
1 |
Sabaiko Laghubitta Bittiya Sanstha |
IPO |
530,000 |
53,000,000 |
17-Jul |
|
2 |
NMB 50 |
Mutual Fund |
120,000,000 |
1,200,000,000 |
|
|
3 |
Siddhartha Investment Growth Scheme-2 |
Mutual Fund |
140,000,000 |
1,400,000,000 |
|
|
4 |
NIC Asia Balance Fund |
Mutual Fund |
125,000,000 |
1,250,000,000 |
|
|
5 |
10.25% Machhapuchchhre Debenture 2085 |
Debenture |
3,000,000 |
3,000,000,000 |
|
|
6 |
10% Himalayan Bank Debenture 2083 |
Debenture |
3,000,000 |
3,000,000,000 |
18-Jul |
|
7 |
10.25% NIC Asia Debenture 2083/84 |
Debenture |
4,400,000 |
4,400,000,000 |
|
|
8 |
Global IME Laghubitta Bittiya Sanstha |
Right |
1,104,575 |
110,457,500 |
|
|
9 |
Womi Laghubitta Bittiya Sanstha |
Right |
1,010,880 |
101,088,000 |
25-Jul |
|
10 |
United Insurance Company |
Right |
7,257,600 |
725,760,000 |
|
|
11 |
Multipurpose Finance |
Right |
3,585,264 |
358,526,400 |
Ongoing |
|
12 |
Janautthan Samudayic Laghubitta Bittiya Sanstha |
Right |
288,000 |
28,800,000 |
Ongoing |
| Total |
409,176,319 |
15,627,631,900 |
As you can see in the table above, one IPO issue worth Rs 5.3 crore is opening from July 17, 2019. Similarly, three mutual funds worth Rs 1.2 arba, Rs 1.4 arba and Rs 1.25 arba are going to be issued soon. Likewise the 10% Himalayan Debenture worth Rs 3 arba will be issued from July 18, 2019 and the other two debentures worth Rs 3 arba and Rs 4.4 arba will be issued soon. This makes a total of Rs 14.3 arba worth of issue in primary market only.
The table also mentions five right issues, two of which are ongoing and 3 will be issued soon. This make a total of Rs 1.32 arba mop-up in the secondary market via right issues. However, lately most right issues are going undersubscribed which calls upon opening of auction for the unsold units and most often the cutoff of auction is higher than Rs 100. Therefore, in reality these right issues might mop-up more than Rs 1.3 arba.
Thus, looking at both the primary and secondary market, a total of Rs 15 arba 62 crore 76 lakh 31 thousand 900 will be mopped up from the investors in the near future.
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